Redmine

I am doing a first time install on a Window 7 system using instructions

http://www.redmine.org/projects/redmine/wiki/RedmineInstall

I have successfully install Redmine using the command

bundle install --without development test rmagick

Bundle complete! 28 Gemfile dependencies, 47 gems now installed.
Gems in the groups development, test and rmagick were not installed.
Use `bundle show [gemname]` to see where a bundled gem is installed.

When I run step 6 "Database schema objects creation" it fails. I am using mysql and verified the connection

production:
adapter: mysql2
database: redmine
host: localhost
username: redmine
password: my_password

C:\Redmine\redmine-3.1.2>bundle exec rake db:migrate
DL is deprecated, please use Fiddle
rake aborted!
Psych::SyntaxError: (<unknown>): did not find expected key while parsing a block
mapping at line 11 column 1
C:/Redmine/redmine-3.1.2/lib/redmine/configuration.rb:86:in `load_from_yaml'
C:/Redmine/redmine-3.1.2/lib/redmine/configuration.rb:42:in `load'
C:/Redmine/redmine-3.1.2/lib/redmine/configuration.rb:67:in `[]'
C:/Redmine/redmine-3.1.2/lib/redmine/thumbnail.rb:24:in `<module:Thumbnail>'
C:/Redmine/redmine-3.1.2/lib/redmine/thumbnail.rb:21:in `<module:Redmine>'
C:/Redmine/redmine-3.1.2/lib/redmine/thumbnail.rb:20:in `<top (required)>'
C:/Redmine/redmine-3.1.2/lib/redmine.rb:47:in `<top (required)>'
C:/Redmine/redmine-3.1.2/config/initializers/30-redmine.rb:6:in `<top (required)

'

C:/Redmine/redmine-3.1.2/config/environment.rb:14:in `<top (required)>'
Tasks: TOP => db:migrate => environment
(See full trace by running task with --trace)